Google lately announced a bold move that has some big implications for advertisers and the future of the internet. The U.S. internet giant said it is reversing a long-planned move to ditch third-party cookies — the critical text files that track users’ web activity for advertisers.
What are cookies?
But what are cookies, exactly? And what does Google’s decision mean for how you interact with the web moving forward — or, for that matter the advertising industry?
Cookies are small pieces of code that websites deliver to a visitor’s browser, where they remain as the person visits other sites. These bits of code silently track our online activities, collecting information on what we’re searching for and the kinds of products we tend to buy, for example. They have become a key way for advertisers to fine-tune how they target people with ads online.
Role of cookies in digital advertising
The practice of using third-party cookies to track web activity has helped fuel much of the digital advertising ecosystem, and advertisers remain heavily reliant on cookies as a tool to gather data on their customers. Roughly 40.9 percent of websites globally use cookies to gather data on users, according to data from web technology research firm W3Techs.
Pros and cons of cookies
Cookies aren’t only a method of tracking users’ browsing habits. They also form a key part of how the modern web functions, playing a critical role in keeping a user signed in as they browse from one webpage to another. Additionally, many would argue that cookies make the web more convenient for users, as the ads displayed on devices for shopping are more tailored to a user’s interests. They also help the web remain free to use, as many publishers introduced paywalls and invested in sponsored content in response to the anticipated phase-out of cookies.
At the same time, cookies have become annoying for many users, with privacy regulation in Europe requiring websites to display boxes requesting user consent for the cookies they want to store on devices.
Google’s initial move to phase out cookies
Initially, Google had sought to introduce an alternative to cookies that was more privacy-focused. The company launched its “Privacy Sandbox” initiative in 2019 to find a solution that protects user privacy while still allowing content to remain freely available on the open web. In 2020, Google said it would end support for third-party cookies once it figured out a solution that works for users, publishers, and advertisers alike, targeting early 2022 as the year this new alternative would launch.
Halting plansÂ
However, the company has on multiple occasions pushed back the timeline for phasing out cookies, citing feedback from the advertising industry over the implementation of these changes, which would have potentially meant less effective ad campaigns.
This issue forms the main reason why Google has now decided to terminate its planned depreciation of third-party cookies. “In essence, it boils down to Google’s acknowledgement that the marketing industry was not ready for this change,” Cripps’ Holman stated. “It also believes that it can develop a feature in its Chrome browser that will allow consumers greater choice.”
Now, Google says it plans to keep cookies. Rather than deprecating them, the tech giant will “introduce a new experience in Chrome that lets people make an informed choice that applies across their web browsing,” the company said in a blog post. Google did not provide specific details on what this new approach would look like, but said it is “discussing this new path with regulators, and will engage with the industry as we roll this out.”
What are the implications for the future?Â
This shift represents a significant development in the ongoing debate around online privacy, user tracking, and the future of the digital advertising landscape. Google’s decision to reverse its long-planned move to ditch third-party cookies will have far-reaching implications for both the advertising industry and internet users alike.
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